The letter urged the company to sell itself, saying it would be worth $50 to $55 a share to a private equity firm or a "strategic buyer," according to Reuters. The investors' letter values the company at $2.29 billion to $2.52 billion.
If Ann does not sell itself, the investors said each member of the company's board should buy back stock equal to about twice their annual compensation as a "sign of confidence."
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TheStreet Ratings team rates ANN INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate ANN INC (ANN) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: